Shift in Aeon tenant mix as high-end brands replaced by cheaper options

[geovalin]

Ayanna Runcie

Concerns are that, while the middle class is growing, Cambodia’s consumer base is not yet able to support premium retailers

The throngs of Cambodian families streaming into Aeon Mall over the Water Festival holiday made it clear that Phnom Penh’s poshest mall has successfully positioned itself as a destination, just not necessarily one for shopping. Visitors bereft of plastic shopping bags congested the mall’s corridors, cinemas and food courts, but foot traffic petered out near the entrances of its biggest retailers.

Aeon Mall has become a magnet for the capital’s middle class, but has struggled to resonate with its elite, who seem content to shop for the same high-end brands on weekend shopping excursions to Bangkok, Hong Kong and Singapore. The high turnover at the food courts stands in stark contrast to the quiet registers in high-end fashion retailers such as Pedro, Mango and Axara.

According to research by international property firm Knight Frank, at least 12 retailers have pulled out of Aeon Mall since it opened in June 2014 as a result of low sales that did not support the mall’s high rental prices.

read more: http://www.phnompenhpost.com/business/shift-aeon-tenant-mix-high-end-brands-replaced-cheaper-options